West Ham no longer want a gallon of Alan. Photograph: Gary Prior/Getty Images

West Ham today sacked Alan Pardew as manager just a week after the club's new owners insisted they had total confidence in him and would make substantial transfer funds available to him when the January transfer window opens.

New chairman Eggert Magnusson was at the Reebok Stadium on Saturday to see Bolton humiliate his new charges 4-0 and send the Hammers to 18th in the Premiership - sources say the board were "shocked by the lack of motivation" of the team.

"Alan has made an important contribution since joining as manager in September 2003 but this season's results have been disappointing and have left the Club in a very difficult position," read a statement on West Ham's website.

"The chairman, Mr Eggert Magnusson, and the board have been concerned by the performances of recent weeks and feel that it is the right time to make a change in the best interests of the club. Mr Magnusson and the board would like to place on the record their thanks to Alan Pardew for his hard work and commitment and to wish him well for the future.

"The search for a successor is now underway in order that a new manager can be in place ahead of the January transfer window. First-team coach Kevin Keen will take temporary charge of team affairs until a new appointment has been made. No further statements on this matter will be made by the club before that time."

Pardew said today he left the club feeling proud of his achievements: "When I took the helm they were in the Championship and struggling to find direction. In two consecutive seasons we qualified for the play-offs, ultimately achieving the Premiership status the club so richly deserve.

"I am also proud of our first season back in the top flight in which we finished ninth and came so close to winning the FA Cup. The supporters have stood by me and I will always cherish memories of their support and loyalty during the difficulties of this season.

"I am proud most of all of the players, many of whom have developed into top Premiership performers under the tutelage of myself and my backroom staff. The coaching and medical staff at Upton Park are second to none and I want to wish the new chairman Eggert Magnusson and the club every success for the future."

Pardew was hailed as one of the most promising young English manager last season after steering the newly-promoted Hammers to ninth in the league and the FA Cup final. The club began this season's campaign looking forward to their first European adventure in six years, and optimism soared in August after the surprise, mysterious signings of Argentinian stars Carlos Tevez and Javier Mascherano.

However, performances on the pitch did not match the high hopes off it and after elimination at the first hurdle of the Uefa Cup 11 defeats and just four wins from their first opening 17 league games, Pardew admitted the club's only ambition for this season was to avoid relegation.

Alan Curbishley, who played for West Ham from 1975 to 1979, has already been installed as the favourite to take over on a permanent basis.